Nomura $3 Billion Bond Offering

Darlington Musarurwa
25 Feb, 2010
New York City

Tokyo market averages declined following losses in international markets. Sumitomo Trust & Banking plans to take a 20% stake in China based Nanjing Trust. Nomura plans to raise $3 billion through debt sale in the U.S.

[R]5:00 PM New York, 7:00 AM – Tokyo market averages declined following losses in international markets. Sumitomo Trust & Banking plans to take a 20% stake in China based Nanjing Trust. Nomura plans to raise $3 billion through debt sale in the U.S.[/R]

Japan stock indexes fell for the third day as investors worried that Greece may need a bailout to avert its financial crisis.

Late after the close of European markets Standard & Poor’s said it may lower Greek bonds rating if the government fails to trim budget deficit to the target set by the European Union regulators.

The yen rose to 120.46 against the euro.

Nomura Holdings Inc plans to raise $3 billion of bonds in the U.S. as it expands its operation there and in Europe. The investment banker plans to raise $1.5 billion of 5-year notes and $1.5 billion 10-year bonds according to Reuters and later confirmed by 123jump.com.

The statement on the Web site of the company did not indicate the offering size and the timing.

In Tokyo trading Nikkei 225 Stock Average fell 1% or 96.87 to 10,101.96, and the broader Topix Index slipped 0.5% to 891.41.

In the first section of the Tokyo Stock Exchange 8.3 billion shares valued at 558 billion yen were traded and in the second section 135 million shares worth 1.8 billion yen changed hands.

Of the Nikkei 225 index stocks, 51 gained, 161 fell, and 13 were unchanged. Nippon Light Metals led gainers in the index shares with a rise of 4.3% followed by Mitsukoshi advancing 4%.

Toyota Assures U.S. Market

Toyota Motor Corp. President Akio Toyoda told the House Oversight and Government Reform Committee yesterday that he was “absolutely confident that there is no problem with design of electronic throttle control system.”

He also outlined a series of steps to add new safety features to Toyota vehicles.

President of Toyota’s U.S. operations James Lentz told a congressional hearing on Tuesday that he wasn’t certain that all problems that had caused sudden acceleration had been identified and fixed.

“I am deeply sorry for any accident that any Toyota driver has experienced,” said Toyoda.

Sumitomo Trust Targets 20% in Nanjing Trust

Sumitomo Trust & Banking reported yesterday that it will take a 20% share in Chinese financial institution Nanjing Trust Investment Co.

The stake will be purchased from Nanjing Zijin Investment Co, a company owned by the Nanjing municipal people’s government, for Rmb119.9 million in late March.

Nikkei Movers

Pioneer Corp led the decliners in the Nikkei 225 Stock Average with a loss of 5.2% followed by losses in Tosoh Corporation of 4.5%, in Fuji Electric Holdings Co., Ltd of 4.1%, in Daikin Industries Ltd 3.9% and in OKUMA Corporation 3.6%.

Nippon Light Metal Company, Ltd led gainers in the Nikkei 225 Stock Average with a rise of 4.2% followed by gains in Isetan Mitsukoshi Holdings Ltd 4.0%, in Sumco Corp of 2.1% and in Keisei Electric Railway Co., Ltd 1.9%.

Other Movers

Honda Motor Co., Ltd declined 1.1% to 3,060.00 after the company launched the sporty small hybrid car that meets stricter environmental regulations.

Nissan Motor Co declined 1.6% to 708 after Maruti Suzuki in India recalled cars that included 30,000 vehicles made by the company.

Nippon Sheet Glass Company, Limited the glassmaker fell 2.4% to 235.00.

Sony Corporation the electronics maker decreased 2.0% to 3,045.00.